What Are Some Good Stocks for Day Trading?

[Rainmaker626 10]

I'm a beginner and wanted to start with a 5k account and I was interested in getting info. on which stocks are good for day trading with a 5k account plus 5k margin = 10k

 

I'm trying to stay away from penny stocks and was looking for a stock that has high volume, high daily price action and not too expensive..

 

I am trying to learn things now, by using a virtual trading platform and some a little shared knowledge from more experienced and successful traders would be welcomed.

[Blackdog 10]

Sorry you can't daytrade with 5k. Any account with less than 25K will be limited to 3 trades in 3 days. See Pattern daytrading rules.

[ACS 10]

If you are in the US then please check the rule for "pattern day trader" before making plans for that account size.

[ForexHunter 10]

5 k is really a little bit small amount if you want to think serous about day trading. You will need to trade with high risks which means you will have a good chance to burn your account quickly.

[26trader 10]

Trade stocks with high volume levels and plenty of liquidity so you can get orders filled promptly.

[chulaihuey 10]

I agree with others that 5k is a risky starting value, and in the US will not allow active day trading. If your platform has a stock screener option you can "look" for stocks that meet your criteria, like price range, beta, volumes, etc. If your platform does not have a stock screener try this one, its free: Free Stock Screener

[suriNotes 11]

I'm a beginner and wanted to start with a 5k account and I was interested in getting info. on which stocks are good for day trading with a 5k account plus 5k margin = 10k

 

I'm trying to stay away from penny stocks and was looking for a stock that has high volume, high daily price action and not too expensive..

 

I am trying to learn things now, by using a virtual trading platform and some a little shared knowledge from more experienced and successful traders would be welcomed.

 

Hi,

 

Sorry to disappoint you but 5K is very small amount to DayTrade Stocks. You do need at least initial capital of $25K to get 4x margin and avoid the Pattern Day Trader Status.

 

I do NOT daytrade Stocks as it is not worth the reward/risk ratios it offers for the effort (for me). I like SwingTrading Stocks and think there is much more money to be made in Swing Trading Stocks using 1-5 days or more holding periods or through Options. I DO daytrade Emini Futures and think it is NOT worth SwingTrading Futures for the risk it involves.

 

But when I did daytrade Stocks few years ago, I traded stocks which are liquid stocks (at least 1M shares of 10-day Avg. Volume), have good range (Stocks which moved at least $1 avg. 21-day range) and high-beta stocks (min. 1. or 1.5).

 

Do your daily research and make a small list of stocks to trade. Trade stocks based on Patterns/Setups and avoid Event Based Stocks (Earnings, Upgrades/DownGrades, News, Rumors, Gaps, Tips etc.). Also, you have to know the list of stocks, setups with their Entries/Exits you going to trade/watch before the Opening Bell...

 

Here is the Scan in TradeStation with the above criteria from NASDAQ stocks >$10.

 

Good luck and Happy Holidays!!!

 

Regards,

Suri

 

Edited December 24, 2010 by suriNotes

[Arthur 10]

Yes 5K is not suitable amount to trade during day ..you must at least get $20K to trade in order to get proper ratios.